Fiserv, Inc. reported first‑quarter 2026 results that showed GAAP revenue of $5.03 billion, a 2% decline from the same period in 2025, and GAAP earnings per share of $1.07, down 29% year‑over‑year. Operating margin fell to 18.3% from 27.2% in the prior year, with the Merchant Solutions segment reporting flat revenue and an operating margin of 26.4% versus 34.2% previously, while the Financial Solutions segment posted a 5% revenue decline and an operating margin of 38.1% versus 47.5% last year.
On an adjusted basis, revenue was $4.68 billion, a 2.4% decrease from $4.79 billion in Q1 2025, and adjusted earnings per share were $1.79, down 16% from $2.14. Adjusted operating margin contracted to 29.7% from 37.8% in the prior year, reflecting the impact of transformation and integration costs associated with the “One Fiserv” action plan and “Project Elevate.”
Revenue decline was driven primarily by a 5% drop in the Financial Solutions segment, which was further pressured by higher‑than‑normal core‑banking attrition and a decline in digital payments revenue. Merchant Solutions revenue remained flat on an adjusted basis, with headwinds in Argentina—lower inflation and interest rates—softening demand. The company’s Clover unit, however, continued to grow, with value‑added services revenue rising 18% and overall Clover revenue up 6% year‑over‑year.
Margin compression was largely a result of increased transformation expenses, severance costs, and integration activities linked to the “One Fiserv” plan, offset by a $254 million tax benefit that helped support the adjusted EPS beat. The tax benefit contributed a 17‑cent lift to adjusted earnings, but the higher operating costs pushed the overall margin down to 18.3% GAAP and 29.7% adjusted, below the 30% threshold management expects to reach later in the year.
Management reaffirmed its 2026 guidance, maintaining an organic revenue growth outlook of 1% to 3% and adjusted earnings per share of $8.00 to $8.30. The company indicated that Q2 is expected to be the trough for revenue decline, with improvement anticipated in the second half of the year as the “One Fiserv” and “Project Elevate” initiatives mature. The guidance signals confidence in the company’s long‑term strategy despite the short‑term revenue and margin pressures.
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